Kuala Lumpur: The government is considering introducing a basic insurance scheme to help reduce the impact of rising medical costs, which has become a growing concern among the public, said Finance Minister II Datuk Seri Amir Hamzah Azizan. He mentioned that a joint committee has been established involving the Finance Ministry, Bank Negara Malaysia (BNM), the Health Ministry, and several related agencies.

According to BERNAMA News Agency, the initiative is part of the RESET programme aimed at developing a basic insurance scheme for Malaysians. This proposal is currently in the discussion stage to ensure its implementation is beneficial and will not burden any party, Amir Hamzah noted during the launch of the Budget 2025 Initiative led by Small Medium Enterprise Development Bank Malaysia Bhd (SME Bank).

Amir Hamzah addressed queries about the government’s proposal to allow withdrawals from Account 2 of the Employees Provident Fund (EPF) for paying health insurance premiums. The development of the scheme involves insurance and takaful operators (ITOs) and financial sector representatives.

He stated that once ready, the implementation model will be announced, with openness to suggestions, including models like the Social Security Organisation (SOCSO). The primary aim is to create a product that genuinely meets the needs of Malaysians.

During the event, Amir Hamzah launched a strategic initiative worth RM211 million by SME Bank to support the sustainable and inclusive growth of micro, small, and medium enterprises. Also present were Entrepreneur Development and Cooperatives Minister Datuk Ewon Benedick, SME Bank chairman Datuk Muslim Hussain, and the banking group’s acting president and group chief executive officer Datuk Dr Mohammad Hardee Ibrahim.